While publishers block AI web crawlers, Direqt forges ahead with AI chatbots for the media sector

In an ever-evolving digital landscape, media publishers face a conundrum - should they resist AI web crawlers' encroachment on their content or embrace them to stay ahead? A pioneering startup, Direqt, firmly believes that publishers should choose the latter, but on their own terms.

Having recently secured $4.5 million in external funding, Direqt offers media giants like ESPN, GQ, Wired, Vogue, and Cosmopolitan their own customised chatbot solutions. These chatbots provide publishers with a direct connection to their audiences, increased content engagement, and a pathway for monetisation through ads.

The journey of Direqt: From chatbot monetisation to AI-driven solutions

Founded in 2017, Direqt initially focused on chatbot monetisation, enabling promotions and ads within chatbot experiences. Later, the company shifted gears, realising that existing chatbot platforms were unsuitable for publishers' needs.

They recognised that a substantial portion of consumers' mobile time is spent on messaging apps, creating an opportunity for publishers to establish a direct relationship with readers, rather than depending on major tech companies like Meta and Google, who have been distancing themselves from the news business.

Generative AI: The game changer for publishers

Direqt has strengthened its platform in the last 18 months, integrating generative AI capabilities that appeal to publishers. Publishers can tailor their chatbots according to their AI policies and strategies, whether that means using non-AI chatbots, editorially curated AI-generated content, or AI-generated quizzes and questions.

For those who desire their own version of ChatGPT, Direqt collaborates with OpenAI and other AI vendors to fulfil publishers' objectives. As publishers gear up for annual planning, many are considering implementing generative AI experiences in 2024.

Direqt can access publishers' content through RSS feeds or, with permission, scrape their websites. The chatbot experience can be placed on the publisher's website, messaging apps, and soon, on social media. With 75 brands on its platform, Direqt serves links to publisher content within chats, boasting an impressive average clickthrough rate of 24.16 percent.

Furthermore, Direqt's hybrid business model offers two options for publishers to choose from, ensuring a flexible approach to suit their needs. In-chat ads have proven to outperform traditional advertising, making chat a promising avenue for publishers reliant on ad revenue.

With a recent seed round of $4.5 million from various investors, Direqt is set to enhance its core conversational engine, expand monetisation capabilities, and increase its team from 15 to around 30 people. As the company gains momentum, it seeks to empower publishers with AI chatbots, enabling them to thrive in the digital age.